The Blantyre based team, Mighty Mukuru Wanderers Football Club have accused their former Sponsors, Salima Sugar Company of breach of contract after the company announced the termination of the contract.
A letter from Salima Sugar Company dated June 15, signed ny the Company secretary Charles Thupi says it had made a ‘business decision’ to exercise the termination of the contract.
Part of the letter reads, “I wish to advise that following the expiry of the contract on March 31, 2022 and the draft contract for renewal, management has made a business decision not to renew the contract.”
Thw decision came barely hours after Mukuru and Wanderers unvelied a K175 million sponsorship at Mpira stadium in Chiwembe, Blantyre.
However, reacting to the matter, Wanderers Secretary to the board, Humphreys Mvula said that Salima Sugar already renewed the contract in March.
Mvula said, “Its not a question of not renewing the contract. After the expiry of the contract in March, we jointly confirmed that the contract has been renewed.
” They (Salima) maintained the sum of K60 Million and promised additional package such as technical equipment and uniforms. Actually, they already started fulfilling some of these obligations.
“That’s why we were still using the uniform they bought for us. Just last week we were diacussing how they will brand Wanderers Reserve. So, to say they have decided not to renew contract is not true because the contract was already renewed.”
Mvula addes that the sponsorship withdrawal was a shock to the Lali Luban based team who had respected the contractual agreement with the company.
“We made it clear that their sponsorship is not enough and that we were looking for co-sponsors.
” Our agreement was that we can’t engage other sugar manufaturing company, ” said Mvula.
Local football analysts said they suspected that the issue of brand visibility could have played a role in Salima Sugar Limited’s deciaion to pull out.
Salima Sugar started sponsoring the team back in 2020, December after being dumped by Japanese second-hand Car dealers, Be forward at the end of theie contract.
Salima has been pumping in K60 million per year.
Wanderers claim that annual budget is pegged at K400 million.